Exactly. Trickle down economics do work. When citizens get a better job and make more money they spend more LOCALLY!!! creating better jobs for other citizens to make more money. They do not rush to send what the World Bank has identified as BILLIONS, out of the country to feed other economies. The money is spent and stays HERE!
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I don’t know if this relates but I noticed an inordinate amount of products being listed as “out of stock, or certain items becoming no longer available”. I can’t trust store advertising - but some are so bold to say “buy now before the tariffs make the prices higher or no longer available”. Are tariffs taxes the importers need to pay the U.S. government? I imagine that gives the federal government more income, which can strengthen our federal budget if funds used for “us”.
If the tariffs raise the prices we pay or increases inflation, how do the tariffs help us?
Does it help us to buy more American goods, than imports?
I want it to work, but admit I don’t know what it all entails.
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Exactly. Which encourages us to need more of a labor force. Which brings more jobs.
There are three ways tariffs are used
- To give the govt more income.
- To punish countries for one reason or another
- To try to make tariffed goods produced in the home country.
Sounds great right. Wrong, tariffs also come with many penalties
1.Countries will not take it lying down and will impose there own tariffs on the offending country.
2. The selling country’s business are business and are not going to just take the blow. Instead they are going to raise the prices to keep profits the same or decide that its not profitable and simply stop selling to that country. (In both cases the tariffs are only passed on to the citizens ironically only becoming another tax on them)
For these reasons econimists consider tariffs to be a last resort if at all. However Trumps economoic advisor seems to be a complete fool and now we are using them willy nilly. This is why prices are increasing, the stock market diving, and everyone seems to hate us (even the Canadians, that should say something) It is however true that some countries have had tariffs on us for some time (specifically India) but not most of them and specifily not Mexico or Canada as we had a free trade agreements with them which means no tariffs.
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Thanks.
If the tariffs remain long-term, I imagine we’ll see any other gains or downsides, IDK.
No doubt, people will take sides and try to assign the results in their favor, blame or recognition, where some of us will wonder where the truth or facts are, and what caused it. Regardless, we are all “in the same boat,” per se.
Sounds complicated to me. Bless us all and America no matter what.
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Good and bad in everything. The goal is to not have our country be in a terrible situation, which we are in now, even if it costs a little more. Maybe people will stop wasting most of their money on crap too.
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The problem is that it will not put us in a better situation.
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These have been the major benefits and consequences from tariffs in the past so I suspect these will be the main ones this time as well.
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If we use the results to our advantage, It will.
We are using our economic power to force production to move from foriegn countries into the US and also to isolate China. But there is a real risk is that the opposite happens. The rest of the world continues with relatively free trade and embraces China, then the US becomes the one isolated. We are 25% of the world economy, but the remaining 75% of the world economy can just move on without us if working with the US becomes too painful.
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How exactly can we do that? The cons are much bigger than the pros.
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I’m so thoroughly impressed by the number of people who have been acting like ignorant schmucks their entire lives suddenly revealing themselves to be astute economists with special insights into how to succeed in global tariff negotiations. Simply astonishing!
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If it was easy, anybody can do it we are Americans we can do it.
OUTSTANDING!
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Trump is not a dictator or a tyrant. That is what we are encouraging.
how so?
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Except it goes both ways and I do study economics in my free time (yes make fun of me all you want, I enjoy it for some reason).
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We just went full circle, tariffs.
This is not a circle, this is a spiral.
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Is that when one asks the same questions using different words?
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